Climate Policy Initiative, New Climate Economy

Authors

Climate Policy Initiative

New Climate Economy

Overview

April 2017

This brief compiles key lessons observed by Climate Policy Initiative (CPI) in original, peer reviewed reports and briefs published in 2015 and 2016. For over five years, CPI has documented, assessed, and designed a range of public finance interventions and inventions that aim to boost low-carbon, climate-resilient investment, especially in developing countries. This brief brings together lessons of how governments and public finance institutions can reduce risks and costs and thus attract green investment, including by:

Identifying the key gaps that public policies and resources can address in order to drive green investment from the private sector.

Providing insights on how effective fiscal policy design in Indonesia could incentivize more productive and sustainable forms of land use.

Sharing lessons learned in Kenya on how national governments and development finance institutions can leverage private investment.

Revealing the process of developing innovative financial instruments to address persistent barriers to private investment through public-private partnerships, such as the Global Innovation Lab for Climate Finance and the India Innovation Lab for Green Finance, and discussing specific instruments.

Aaron Bielenberg, Mike Kerlin, Jeremy Oppenheim, Melissa Roberts

FinanceInfrastructure

After the Paris agreement, many countries are looking to scale their investment in infrastructure that is socially inclusive, low carbon, and climate resilient. The huge quantity of investment required means that establishing the right conditions to attract private-sector investment is critical.

Investing at Least a Trillion Dollars a Year in Clean Energy

Julia Zuckerman, Jana Frejova, Ilmi Granoff, David Nelson

EnergyFinance

Energy demand is projected to grow by a third in the next 15 years. A rapid scale-up of low-carbon energy sources and energy efficiency is essential to drive global growth, reduce the air pollution and greenhouse gas emissions (GHGs) associated with fossil fuel use and help provide reliable access to modern energy for those who lack it. This need has become more urgent following the global commitment made in the UN Paris Agreement in December 2015 to reducing net GHG emissions to zero in the second half of the century.